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Can you summarize AKST 06.05 Article 7?
Alaska Banking Code. > International and Interstate Banks and Out-of-State Bank Holding Companies and Depository Institutions; Relationship with In-State Depository Institutions.
Short Summary
These legal documents govern the acquisition and ownership of state banks, domestic bank holding companies, or national banks by out-of-state bank holding companies. Out-of-state bank holding companies must obtain a permit from the department before acquiring a state bank or bank holding company. The department considers public benefits, competitive banking industry preservation, and safe and sound bank industry maintenance when issuing the permit. The department may also require a bond from the out-of-state bank holding company. The documents also cover the examination of out-of-state bank holding companies by the department or a designated person. Exemptions are provided for certain companies acquiring or holding bank or bank holding company stock. These documents also govern the applicability of the title to interstate state banks, interstate national banks, international banks, and bank holding companies operating in the state. These entities are subject to the provisions of this title and the regulations adopted and orders issued under this title, with the exception of residency requirements. The banks are required to maintain the required reserve fund in the state and are subject to examination and assessments based on their total deposits in the state. The department may examine the banks when necessary and may require periodic reports to ensure compliance. The department may also enter into agreements with other supervisory agencies for examination and enforcement purposes. Interstate national banks operating branch banks in the state are subject to additional provisions and regulations. Non-compliance may result in examination fees. The asset requirements for international banks operating branch banks in the state are also governed by these documents. International banks must maintain assets in the state in an amount acceptable to the department, excluding certain assets. In the event of the department taking possession of a branch bank of an international bank, the assets of the international bank in the state shall be turned over to the department. The documents also outline the process of acquiring or establishing branch banks for interstate state banks and international banks. Banks must file an application with the department and receive a certificate of authority before acquiring or establishing a branch bank. The department reviews the application and conducts an investigation to ensure compliance with requirements. The department makes a determination within 150 days of accepting the application. The documents also specify the authority of international banks, interstate state banks, and interstate national banks to establish branch banks through various means. However, interstate state banks and interstate national banks can only establish a branch through acquisition and are not allowed to establish new branches. The documents also mention the restrictions on acquisition, merger, or ownership transactions between depository institutions in this state and other states, unless waived by the department for fulfilling the purposes of the title and being in the public interest.
Whom does it apply to?
Out-of-state bank holding companies, state banks, domestic bank holding companies, national banks, interstate state banks, interstate national banks, international banks, bank holding companies, depository institutions
What does it govern?
Acquisition and ownership of state banks, domestic bank holding companies, or national banks by out-of-state bank holding companies; applicability of the title to interstate state banks, interstate national banks, international banks, and bank holding companies operating in the state; asset requirements for international banks operating branch banks in the state; process of acquiring or establishing branch banks for interstate state banks and international banks; authority of international banks, interstate state banks, and interstate national banks to establish branch banks; restrictions on acquisition, merger, or ownership transactions between depository institutions in this state and other states
What are exemptions?
Companies acquiring or holding bank or bank holding company stock for underwriting securities, agencies of the United States or a state, independent federal financial regulatory agencies or their trustees or agents, companies under a plan of financial restructuring approved by the department
What are the Penalties?
No penalties are mentioned in these documents.
Jurisdiction
Alaska